What Is Event-Driven Architecture?

Event-driven architecture is among numerous emerging technologies slowly gaining ground in today’s business and digital worlds. The event-driven architecture space comes with many benefits for businesses and developers alike. This article provides an explanation of an event-driven architecture, highlighting how the current technology works and the numerous benefits available for businesses of all sizes.

What is event-driven architecture, and how does it work?

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Business processes in companies are often event-driven. This is because events occur in the business environment that requires an appropriate response and, if possible, in real-time; for example, in sensor networks or automatic securities trading.

The term “event” has various implications, but its meaning in data management refers to a change in an organization’s business environment, systems, and projects. These changes can take several forms. A perfect example of an event can be your customer requesting a password reset on your platform.

Businesses need significant control over these events to drive digital transformation in every business environment. That’s where event-driven architecture becomes handy. But exactly what is event driven architecture for first-timers and non-technical audiences? Event-driven architecture (EDA) is a new software architecture paradigm based on event processing. Its aim is to react to events and manage the flow of event data, ensuring event triggers reach interested consumers via a well-patronized event channel.

The event-driven architecture has components that communicate with each other reactively by publishing and consuming events. The event is a message that represents something that has happened, which can be the purchase of a product or service. It could also be when a potential customer shows interest in your business by signing up for a newsletter.

What are the benefits of event-driven architecture?

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Event-driven architecture can offer significant advantages to businesses across all industries depending on how they implement their projects. The concept isn’t complex to grasp for non-technical users, but entering an online masters in information technology degree program can familiarize you with some of the concepts and contemporary issues in the EDA world. Generally, some use case benefits you can enjoy from EDA are described below.

Real-Time Data Streaming

According to HubSpot, about 80 percent of the current Fortune 100 companies in the United States use event streaming to power their businesses via Kafka. Experts predict the number to increase as the world navigates the 5G era with enormous pressure on telecommunications companies to leverage real-time data and analytics for effective business decisions. Today’s event-driven architecture has evolved from data at rest to data in-flight systems, making it easier for businesses to capture events as they occur, improving application responsiveness, network utilization, and profits in the long run.

Reduced Operational Costs

Event-driven architecture can increase throughput and operation resiliency at far less cost than many CEOs can imagine. In the past, batch-processing systems collected data in batches, which slowed the throughput rate. The event-driven architecture establishes a continuous stream of events, which ensures data can be processed at the generation stage. Event-driven architecture can help eliminate wasteful operational costs and reduce reliance on capital-intensive messaging infrastructure.


Event-driven architecture can help businesses build scalable and modern applications to process complex multistep decisions with more convenience. The scalability features of event-driven architecture simplify horizontal scalability in distributed computing models. It improves resilience and flexibility to scale processes up or down depending on a business’s specific situation.

All in all, event-driven architecture can be a great change management tool for business owners to navigate today’s cloud-computing virtualization world. The more the business world enters the cloud, the more essential it becomes for businesses to build digital experiences at scale using event-driven architecture.

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